Home Improvement

Home Improvement

o Plan ahead. Know what you want or need to have done before
contacting a contractor.

o Get detailed estimates from reputable contractors. Contact your
local or state consumer agency and Better Business Bureau for
information on contractors' licensing or registration
requirements, complaint records and for brochures containing
advice.

o Contact your local building inspection department to check for
permit and inspection requirements.

o Call your insurance company to find out if you are covered for
any injury or damage that might occur and be sure your contractor
has the required insurance for his/her workers and
subcontractors.

o Insist on a complete written contract. Know exactly what work
will be done, the quality of materials that will be used,
timetables, the names of any subcontractors, the total price of the
job and the schedule of payments.

o You have cancellation rights (usually three business days) in
many home improvement contracts. Before you sign a contract, check
with your local consumer agency to find out if you have
cancellation rights and how they apply.

o Understand your payment options. You can get your own loan or
the contractor might arrange financing. Be sure you have a
reasonable payment schedule at a fair interest rate.

o Some state laws specify payment schedules, for example, only
allowing a certain percentage of the total cost to be made as a
down payment. Contact your state or local consumer agency to find
out what the law is in your area.

o Lien rights, which might give the contractor or subcontractors
the ability to "attach" your home for unpaid bills, vary from state
to state. Ask your local consumer agency to explain the situation
where you live.

o You need to be especially cautious if the contractor:

- comes door-to-door or seeks you out;

- just happens to have material left over from a recent job; -
tells you your job will be a "demonstration;"

- offers you discounts for finding him/her other customers; -
quotes a price that's too cheap;

- pressures you for an immediate decision;

- has workers or suppliers who tell you they have trouble getting
paid;

- can be reached only by leaving messages with an answering
service; or

- drives an unmarked van or has out-of-state plates on his/her
vehicle.